Columbia Fire Department. Employee Attrition Reduction Plan

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1 Columbia Fire Department Employee Attrition Reduction Plan

2 Columbia Fire Department must establish a competitive marketplace necessary to retain a fully experienced and capable fire employee whose performance consistently meets or exceeds the City's expectations. Reasonably Acceptable Attrition

3 Nationally recognized for its survey research services, the Institute monitors the quality of life in South Carolina by providing information to policy makers, the media, and the public. The Institute has the capacity to conduct all phases of survey research, including identification of the most appropriate method for gathering information, questionnaire design, sample selection, data collection and processing, and analysis. It conducts face-to-face, telephone, mail, and Internet surveys, as well as mixed-mode applications. Government managers and administrators frequently call the Institute to conduct independent analyses on a wide range of public policy and operational issues. Recent studies include analyses of procurement policies, organizational structure, business license ordinances, and department staffing and compensation levels. The Institute also has experience in process mapping and redesign, conducting training needs analyses, developing performance appraisal systems, and reviewing user fees and cost allocation. USC s Institute for Public Safety and Policy Research

4 USC s Comprehensive Study was conducted in 3 phases. Phase One: Previous Employee Survey Report Phase Two: Current Employee Survey Report Phase Three: Consisted of Human Resources Practices USC s Institute for Public Safety and Policy Research

5 Phase One and Phase Two: A previous Employee Survey Report was conducted to identify reasons former employees resigned or retired, and to gather data on both current and previous employee s beliefs and attitudes about the Columbia Fire Department. Concurrently, active employees were confidentially surveyed in regards to factors related to turnover and retention including compensation, training, job satisfaction, and management practices. USC s Institute for Public Safety and Policy Research

6 Employee Satisfaction Issues Deficient Competitive Market Rate Compensation across all fire ranks Lack of Comparable Annual FLSA working hours Lack of incentives for required specialized training High-performing employees not rewarded Lack of retention / longevity incentives Issues Affecting Attrition

7 44% of former CFD employees would not recommend CFD as good place to work Nearly 1/3 of all current CFD employees are dissatisfied with job Comparatively 85% of employees in surveyed departments would recommend their department as a good place to work Employee Survey Report

8 Communication Development of guidelines Officer development Employee recognition Respect from command staff and managers Command staff must admit mistakes Seek employee input on new ideas and improvements Improved use of resources Improving Employee Satisfaction

9 Phase Three of the study surveyed Human Resources Practices for 21 metropolitan fire departments in the southeastern US 9 departments responded consisting of 115 to 820 employees, with an average size of departments offered paramedic service and 2 offered EMT services; 2 offered no medical services USC s Institute for Public Safety and Policy Research

10 Lowest Salaried Respondent reported 20% Attrition Rate Second Lowest Salaried Respondents reported 8% Attrition Rate Upper-half Salaried Respondents reported less than 3% Attrition Rate CFD 2011 Attrition Rate 13.29% (55 /414) 89% of CFD personnel dissatisfied with pay Many 6-month to 1-year firefighters now earning more than 4 year employees due to lack of adjustments There are firefighters currently qualified for and receiving food stamps Respondent Attrition Comparison

11 CFD 6 Year Average Attrition Rate is currently 9.3% CFD has lost a total of 251 personnel between * 90 personnel since January 2011 alone CFD has replaced 60% of department since CFD average salaries rank below all respondents' reported minimum salaries 2012* attrition rate is 8.45% (35 / 414) 185 personnel have less than 5 years of service currently earning entry level pay. CFD Attrition Rate

12 Annual Compensation $70,000 $60,000 $50,000 $40,000 $30,000 $20,000 $10,000 $- Fire Battalion Division Engineer Captain Fighter Chief Chief CFD Starting $28,919 $32,001 $42,790 $47,414 $50,497 Market Rate $37,554 $39,291 $52,876 $64,793 $65,486 % Difference % -41% % % % Market Rate Starting Salary Disparity

13 Annual Compensation $90,000 $80,000 $70,000 $60,000 $50,000 $40,000 $30,000 $20,000 $10,000 $- Fire Fighter Fire Engineer Fire Captain Battalion Chief Division Chief COC Median $30,641 $38,813 $47,714 $57,691 $68,015 COC Avg $31,316 $41,285 $48,725 $58,661 $67,322 Study Avg. $46,845 $58,053 $65,895 $81,777 $81,040 Market Rate Actual Salary Disparity

14 Surveyed City USC CREC* Nashville 5.0% 5.1% lower than Columbia Tampa 3.5% 2.4% lower than Columbia Rock Hill 3.2% lower than Columbia Charlotte 2.1% 0.6% lower than Columbia Raleigh 1.4% 2.9% lower than Columbia Orlando Charleston Gainesville 2.8% 3.1% higher than Columbia 4.4% 4.4% higher than Columbia 5.4% 4.6% higher than Columbia Cost-of-Living Index Comparisons *Center for Regional Economic Competitiveness

15 $1.89 million spent in 2012 for latest 44 newly hired firefighters for their first full year of employment Pre-Employment Testing, Recruit Training, Benefits, Equipment, and Salary $990,000 spent in 2011 for recruit training $630,000 spent in 2012 for recruit training Currently 42 fire suppression positions open Projected costs are $756,000 to train and equip them First Year Investment Cost of New Personnel

16 Recruits Separations Net Loss /Gain Fire Employee Net Loss/Gain

17 A/C of Professional Services was advised that possibly 15 CFD firefighters have applied for Lexington County Fire Service openings It would cost upwards of $270,000 to replace these 15 firefighters Cost does not include required specialized training, promotional costs, hiring costs or training requirements Current CFD Fire Engineers can leave and earn a higher starting salary as a firefighter at LCFS; two ranks below their current position. True Cost of Attrition

18 $3.33 Million spent on new hires over last 5 years CFD s 5 year average attrition rate of 9.3% cost $666,000 per year to replace Attaining a 3% Target Annual Attrition Rate of 12 employees would have a projected cost of $192,000 71% annual reduction of new employee training costs 2002 attrition rate was 2.6% w/ only 10 departures 3% Target Attrition Rate Savings

19 $1,200, * Attrition Cost $1,000, $800, $600, $400, $200, $ * 3% Target 3% Attrition Rate Savings

20 Attaining a 3% attrition rate will result in immediate new hire cost reductions $798,000 reduction in recruit costs from 2011 $438,000 reduction in recruit costs from 2012 $2.37 Million reduction in recruit costs for next 5 years for attaining 3% attrition rate, replacing 12 per year We must protect our most valuable resource by investing in and retaining experienced personnel Target Attrition Rate Savings

21 Salary ranges have an established minimum, mid-point, and maximum salary. Minimum salary of the a salary range represents the minimum salary that an organization pays for an individual whose combination of related prior education, training and experience meets the minimum qualification requirements as specified in the City s approved job description. Mid-Point salary of a salary range represents a marketplace competitive salary necessary to retain a fully experienced and capable employee whose performance is consistently meeting the City's expectations.* Maximum salary of the salary range represents the maximum salary that the position is valued to the City. ESTABLISHED SALARY RANGES *City of Columbia Personnel Policy Manual, Pg.1

22 90% of CFD Fire Employees agreed that high performance was NOT recognized or rewarded Examples of Performance Compensation: Education / Degrees Second Language Rescue / Hazmat Support Specialized Technical Rescue/ Hazmat Specialist Advanced Fire Marshal Certifications Emergency Medical Technician Qualified Certification Performance

23 Hourly rates Fire Flow technician earns $13.16/hr Minimal on the job training for productive performance This position works 80 hrs/pay period This position works 2080 hrs/year Administration assistant earns $13.42/hr Minimal on the job training for productive performance This position works 80 hrs/pay period This position works 2080 hrs/year City of Columbia Hourly Wage Comparison

24 Certified police officer earns $14.24 / hr 15 weeks of training before being able to work independently Police officers work 85 hours / pay period Police officers work 2184 hrs / year Certified firefighter earns $10.50 / hr 16 weeks of training before being able to work independently Pay calculated on FLSA 106 hour bi-weekly schedule FLSA of 2756 annual hours calculated Firefighters are actually scheduled to work 2920 hours per year. (365 Days x 24 hours 3 = 2920) City of Columbia Hourly Wage Comparison

25 In 2008, The Public Safety Retention Plan consisting of a 10% market adjustment was initiated as unanimously approved by City Council to be implemented over 3 years for the Retention and Recruitment of Public Safety Personnel Only the first phase of 3.37% was given An independent fire department compensation study in 2007 showed an 18% market rate disparity in which the council approved adjustments were based 2008 Public Safety Recruitment and Retention Plan

26 Employees scheduled to work 8 hours per day/5 days per week or 2080 hours during the calendar year, will receive holiday leave hours at the rate of 8 hours per holiday. 100% scheduled Shift hours received per holiday Police Employees scheduled to work 12-hour shifts, or 2210 hours during the calendar year, will receive holiday leave hours at the rate of 8.5 hours per holiday. 71% scheduled Shift hours received per holiday Fire Employees scheduled to work 24-hour shifts, or 2756 hours during the calendar year, will receive holiday leave hours at the rate of 12.0 hours per holiday. 50% scheduled Shift hours received per holiday Public Safety Benefit Parity

27 100% 75% 50% 25% 8 HOUR POLICE FIRE 0% % of Holiday Hours Recevied Public Safety Benefit Parity

28 Surveyed departments reported: Annual work hours between 2,374 to 2,920 Average Annual hours worked of 2,620 per year Annual Leave Range of 360 to 522 hours Average annual leave of 425 hours Average of 1 to 2 Kelly Days per month. Kelly Days reduce FLSA hours actually worked Respondent Annual Hours Worked

29 CFD Annual Hours Respondent Hours Min-Leave Mid-Range Max-Leave Comparative Permissive Leave Hours

30 24 Hour Fire Shift employees work 2,920 hours per year 120 Holiday Hours 111 Hours Annual 1-5 Years = 231 total hours of leave 169 Hours Annual 10 Years = 289 total hours of leave 282 Hours Annual 19+ Years = 402 total hours of leave 10 Year Fire Employees receive 32% less permissive leave than that of the respondent average 20 Year Fire Employees receive 23 hours less total permissive than the respondent average CFD s Comparable Total Permissive Leave

31 PAY CLASS CALENDAR FYI ONLY DEFAULT PATCHED HRS (Set in IFAS) (HREMEN) SCHEDULED BI-WEEKLY (HREMEN)FTE (HRQP) SCHEDULED HOURS/DAY (HRQP) DAYS/YR (HRQP) (PAY) PERIODS PRO-RATE YES=Check Mark NO= Leave Blank RE-CALC CD 130 FIRE SHIFT EXEMPT FLSA (106 hrs X 26) FIREA 96/120 96/ NO P 135 FIRE SHIFT NON- EXEMPT FLSA (106 hrs X 26) FIREA 96/120 96/ NO P Actual Days Scheduled (365 3) Total Days Differential 6.84 City Fire FLSA Calendar* *PayClass-Calendar&Etc-As of 05(14)07-r03.xls

32 Current vacant positions not attracting high performing employees due to lack of incentives and compensation Lack of retention incentives not enticing experienced personnel to continue working after reaching retirement eligibility. Only 4 Fire Suppression Personnel currently have 25 or more years of service (Many are buying time to leave) 41 fire suppression personnel eligible for retirement in 2.5 years / 2015 Each year thereafter large groups of hires will become eligible for retirement all at once Comparative Market Retention Policies

33 11 Battalion Chiefs 29 Captains (15 Out of Class Personnel- moved up) 71 Fire Engineers (20 Out of Class Personnel- moved up) 27 Senior Firefighters 92 Firefighters 1 Year of service or less in position

34 Current Fire Budget $20.54 million $ per capita for COC fire protection ICMA South Atlantic Average $ per capita fire on average ICMA South Atlantic Average comparable budget = $23.55 million (2008 funding levels) International City/County Management Association

35 Report of Mayor-Elect Steve Benjamin s Transition Team; Page 75, 81 It is clearly established in reports dating back close to a decade that the same problems and issues heard throughout the committee s work are recurring... These chronic issues must be addressed to allow the city to move ahead in a constructive manner and allow for improved service delivery to the citizens of greater Columbia. TOP PRIORITIES (6-24 MONTHS) Revisit previous compensation studies and update as necessary to make recommendations to address public safety sector recruiting, retention, and promotion opportunities Report of Mayor-Elect Steve Benjamin s Transition Team June 30 th, 2010

36 Report of Mayor-Elect Steve Benjamin s Transition Team; Page 84 Fire Department/Services and EMS Substantial pay cuts for employees and services Compensation Discrepancies Firefighters are working many hours that continue to increase annually, yet not fairly compensated Outstanding tests, classes, and certification examinations attended and taken off duty without pay No funding for specialized training that is required by OSHA Report of Mayor-Elect Steve Benjamin s Transition Team June 30 th, 2010

37 Report of Mayor-Elect Steve Benjamin s Transition Team; Page 85 Attrition Cost over the 3 years - $1.75million In the last 6 months the department has lost 20+ people It costs an additional $400,000 to replace the last 20 people Experienced loss of 65 firefighters Availability of qualified personnel to fit leadership capacities are lacking Losing best and brightest remain for short period of time; then leave for greater opportunities in larger metropolitan areas (CLT, ATL) Incentive Programs to retain and/or attract best people Healthcare: Irmo Fire District has recently upgraded to provide fully paid healthcare for employee retention purposes Report of Mayor-Elect Steve Benjamin s Transition Team June 30 th, 2010

38 1. Fulfill 2007 Public Safety Retention Plan of 6.67% 2. Market Rate Adjustment for all ranks a. Competitive Fair Market Value for fully experienced & consistently performing employees b. Address compression and overlap in each rank c. High-Performance Employee Compensation 3. Adjustment of FLSA Work Schedule to Days Hour Holiday Benefit parity 5. Longevity incentives for retention of experienced personnel Proposed Attrition Action Items

39 Funding Sources

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